The Valley Virginian. [volume] (Staunton, Va.) 1865-1895, 1887-05-19
The Basic Steel Patents.

The following article is taken from the
Philadelphia Bulletin, May IL, relating to
the Basic Steel Patents, which have been
in litigation for the past fifteen years:
The opinion appears TO prevail in some sec
tions OF the country that the production of basic
steel in the United States has been prevented
by the selishness of Bessemer Steel Company
Limited, which owns the English patents and
has supposed that it also owned Mr.. Reeses
patents 1t is true that Immediately after the
6essemer steel Company Limited acquired the
ownership of the English patents, itdecli ned to
grant licenses to use them, and for q variety of
reasons not now necessary to inquire into or to
Justify. 1t Is true, also, that when the contro-
versy with MI. Reese commenced several years
ago no persons wanted to take licenses from
the company unless they were guaranteed
against any Infringement lawsuit from the
other side, which guarantee could not be given.
1t has thus happened that down to this day the
Bessemer Steel Company LimlIed has not grant
ed a single license. although for several years
il has been ready and Wiling to grant licenses
to all persons who would agree to pay royalty
of one dollar per ton for every ton of melted
metal which should be converted into steel by
the basic process. 1t has not advertised this
TACT because OF the legal difficulties with Mr..
Reese, which, as We have said, prevented it
from guaranteeing possible licenses against e-
anl proceeaings in Mr. Keese's behalf, But to
Various applicants 1t has explained the situa-
ton exactly as we hlye done above. he COM
pany is now willing to grant licenses upon the
| Terms mentioned. 1t would be glad to get back
in the shape of royalties part OF the $500 900 it
| has paid for the English patents and paid to
| Mr.. Reese, or agreed pay TO aim.
| IL will be seen that the real difficulty in The
| gran .iig and accepting Of licenses to use tile
| basic process in this country has been an eX-
| tended and troublesome legal controversy with
4 Mr.. Reese, against whom the Bessemer Steel
| Company Limited brought suit many years ago
TO compel the performance OF the contrast
| which 1t alleged it had made wi. II him. Tnis
| controversy Is new in u fair way of being speed
Ily ended. IL is ~ ctrioas TACT Lnat the original,
| or acid, Bessemer process was also several years
| in getting start in this country, owing To q
vigorous controversy between Two sets OF gem
| tlenen each of which claimed to own the on y
patents under which Bessemer steel could be
| made.
In the Baltimore Manufacturers Record
OF the 18th, we lind The following card from
| Mr.. Jacob Reese, the claimant to the Basic
patents, and who has been q party to The
suits relating to them with The BtSsemer
Steel Company. The card is dated Pitts
burgh, May 8, 1887, and addressed to tho
Record:
After five years litigation in Court of Chance
~ the master reported i'll my favor that The in
| junction should be dissolved, and the bill lis
| missed at The cost of the Besseneg Steel Go
This confirmed by The court. The coui
| then referred The case back to the master will
Instructions to say why the patents in question
should not he granted To the Bessemer Stee
Co. The master Then made supplement Tar
report, citing eaIch patent and the reason why
they belonged 10 Reese, and should not b,
transferred to the Bessemer Steel Co. Judg,
stowe then made his decree: 1.-The defend;an
should assign to the plaintiff all the patents ant
applications that found by me mas lie
should be assigned and all the others found b,
the master should not DE assigned, except pat
| ehts 5l6, 495-35u sos and No. 3J6 Exhibit" Tn,
decision III view of the evidence and of tn
master report is slinply 1nexplcable. shal
neither cry nor swear, but VIII appeal and wal
the decision OF the supreme Court. This decis
ION OF Judge stowe VIII send q chilling .snive
| through the Industrial South, and especially il
| the Birmingham region, that Will be very IN
jurious which regret almost rs much as III
| the millions of dollars il takes OFF me and give
to the Bessemer Steel Co, Hoping that the Su
preme Court will reverse Judge STOW, and Ina
we may yet rejoice together, am, yours trul,
JACOB REESE.